FED:Challenger shares soar on gas find

Challenger Energy
says its Triple Crown prospect is outperforming expectations, after drilling intersected gas shows which the company described as "outstanding".

Challenger has projects in the USA, with its Triple Crown prospect taking in three targets across 45,000 acres in Texas.

The company said new drilling located 400 to 750 units of total gas at depth between 1.37 kilometres and 1.69 kilometres.

The success was at the Canyon Sands and Lower Canyon sequence, which is prospective for conventional and unconventional forms of gas.

Managing director Paul Bilston said the well was outperforming expectations.

"Considering that we are drilling with relatively heavy brine, the level of the gas shows is outstanding," Mr Bilston said in a statement.

"It confirms the company's technical appraisal that the drilling techniques used in previous campaigns had suppressed hydrocarbon shows and hidden the true conventional and unconventional potential of the area," he said.

"The Ellenberger Formation remains the principal target in this well and will be drilled through in the next week."